There were fewer retail sales nationwide in the March 2022 quarter compared to the December 2021 quarter, Stats NZ data showed.
CBD retailers say roadworks, construction and a lack of parking are hurting sales - with one saying there is "a long way to go" before business returns to normal.
However, business associations in outlying suburbs say sales are beginning to bounce back after a slow start to the year,and they are positive about the future.
The contrast reflects what an industry leader says is a "mixed story" for retailers.
Stats NZ data shows fewer retail sales nationwide in the March 2022 quarter compared to the previous quarter but the value of sales rose.
Stats NZ was unable to provide the volume of sales in the Bay of Plenty but actual retail sales values and seasonally adjusted sales values both increased - 5.5 per cent or $1.785 billion and 3.2 per cent or $1.839 billion respectively.
"We're getting squeezed and that to me is the most important issue - carparking."
The only positive news was that cruise ships were scheduled to return later this year.
Other business owners and retail workers in the CBD echoed Campbell's comments about parking but also said roadworks, especially those along Cameron Rd, and other works like those around the Farmer's building on Devonport Rd, were creating headaches.
One store attendant, who would not be named, said they lost customers over the weekend because they couldn't make it to the store easily and gave up.
Most retailers who spoke to NZME were optimistic about the future once all the works were finished.
Tauranga Business Chamber chief executive Matt Cowley said the city's retail sector overall was "still going very strong".
"The region's population is relentlessly increasing, unemployment is extremely low, worker wage inflation is high, and there are more events and travel opportunities post-Covid giving people reasons to buy new clothes," Cowley said.
Tauranga Business Chamber chief executive Matt Cowley. Photo / NZME
"The economy will hit a hard slow-down in the near future as mortgage rates increase, along with inflation limiting discretionary purchases."
Cowley said Priority One's CBD blueprint showed a strong pipeline of development over the coming years.
"There is light at the end of the tunnel for city centre retailers, but there will be a few more construction-related disruptions in the short-term to navigate, such as street access and parking availability."
The document stated that 2000 higher-density homes were expected to be built in and around the CBD within 10 years, and 40,000 more jobs were expected by 2050.
Greerton Village Community Association manager Sally Benning said things were looking up after a slow start to the year.
"There was a period of time when it was actually deathly quiet," she said. "It's certainly picking up from what it was six weeks ago.
Greerton Village Community Association manager Sally Benning. Photo / NZME
"Businesses seem to be doing pretty well, certainly, there are some who have definitely noticed a slowdown or downturn year on year," Benning said.
"Even in saying that, the ones who have said that say it's slowly climbing up again."
Benning said while no businesses were lost over the lockdowns, though some left for other reasons, they were being more "conservative".
"Quite a few are saying they're being careful with ordering stock, perhaps not ordering as much as they might have done."
In Mount Maunganui, the biggest problem wasn't revenue-related, according to Mount Business Association destination marketing manager Claudia West.
"Staffing has been a real issue this year, but we are not alone with this as it's seeming to be a global and industry-wide issue," West said.
"Hopefully, we see an increase in backpackers coming through towards the end of the year to fill the gap needed for summer."
West said local retailers noticed a difference in foot traffic over the summer months after Hamilton and Auckland exited Covid-19 lockdowns.
They were starting to see the drop-off with the cooler weather "which is expected" so having a strong online presence was key during the quieter months.
Retail NZ chief executive Greg Harford said retail was a "mixed story" at the moment.
"Some retailers are doing relatively well in terms of sales, while others are struggling," Harford said.
"Customers are tending to stay home and shop locally rather than getting into CBDs.
"At the same time, many customers are making fewer trips meaning that they are spending more each time, although as inflation bites, they are starting to trade down in terms of brands."
Harford said it was important to note that increased sales didn't necessarily translate into more profitable retail stores.
He said there are "very significant" cost pressures retailers face like the "spiralling costs of sourcing product, freight and wages".
